CarMax, Inc. Announces Creation of the CarMax Foundation With Initial Endowment of $1 Million

Foundation to Focus on Family Auto Safety, Technical Training in Retailer's 22 Markets; Educational and Youth Programs in Home Town of Richmond, Va.

RICHMOND, Va., Dec. 22 -- CarMax, Inc. , the nation's leading specialty retailer of used vehicles announced today the creation of the CarMax Foundation, designed to benefit the markets where the company has stores.

The CarMax Foundation will focus on benefiting the communities where its associates live and work in the following ways:

  1. Through a national funding program, designed to improve auto safety for
     families and build a competitive workforce through technical training.

  2. With a funding program for the company's hometown of Richmond, Va. to
     improve educational opportunities for children and families in the area
     and fund programs that develop  youth into the leaders of tomorrow
     through athletics, arts or culture.

  3. Through associate involvement, with a matching gift program that
     matches associates' donations to the charities of their choice.

"As we celebrate our 10 year anniversary and our one millionth car sold, we want to say 'thank you' to the communities who have supported CarMax and to the more than 9,000 associates who have contributed to our success," said Austin Ligon, president and chief executive officer of CarMax, Inc. "Creating the CarMax Foundation is just one way we can show our appreciation and make a difference in our communities."

The CarMax Foundation will immediately begin accepting applications from 501(c)(3) public charities based in the United States for support of specific programs. Requests for general operating support, capital campaigns, endowments, event sponsorship and scholarships will not be considered.

Public charities interested in learning more about The CarMax Foundation are encouraged to visit www.carmax.com to review guidelines and procedures for funding requests. Interested parties can also contact The CarMax Foundation contact line at 804-935-4533 to request a copy of funding guidelines.

CarMax is the nation's leading specialty retailer of used cars. Headquartered in Richmond, Va. CarMax currently operates 46 used car superstores in 22 markets. CarMax also operates 14 new car franchises, 12 of which are integrated or co-located with its used car superstores. During the twelve month period ended November 30, 2003, the company sold 216,230 used cars, which is 91 percent of the total 238,118 vehicles the company sold during that period. For more information, access the CarMax web site at www.carmax.com.

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